Within his recently unveiled memoir, called Ithaki, the ex- prime minister Alexis Tsipras pulls no punches while he reflects on the chaotic era of Greece's financial crisis.
A Controversial Appointment
In Tsipras's version, Tsipras appointed the maverick economist Varoufakis as his treasury head largely because of his worldwide fame and his very persuasive abilities as a speaker.
“In reality, he was, truthfully, more like a personality rather than an economic expert,” recalled the 51-year-old.
Conflicting Agendas
The former leader suggests that his finance chief had his own motives which involved promoting Varoufakis's books as well as experimenting with his own theories using Greece rather than genuinely fighting for its financial survival.
He noted that those negotiations to prevent insolvency were “not only a way of achieving a better deal for Greece. They became a test, an historic chance to demonstrate the truth of his theories.”
High-Stakes Talks
During volatile negotiations, the country came perilously on the brink of exiting the single currency area.
At stake was not only the country's destiny but also the harsh austerity policies required in exchange for rescue loans by foreign lenders.
Failed Options
Efforts to secure financing from other sources, such as a desperate plea to the Kremlin to purchase Greek government bonds, went unanswered.
Helping Greece was equivalent to tossing cash in the trash-can, the Russian leader reportedly told Tsipras during their meeting.
Referendum and Reversal
In July 2015, the excoriating conditions were subjected to a popular referendum, an action which threw Europe into deeper crisis of identity.
Although the referendum was won resoundingly by voters who opposed the cuts, Tsipras had little option but to ignore the result and negotiate a rescue deal with creditors which proved to be more severe.
Breaking Point
The ex-PM revealed how he began to doubt Varoufakis relatively soon.
“He was the face of the talks, the man who drew media attention, who appeared on the front pages of publications globally … he gave the impression he relished his new role.”
After Varoufakis outlined a contingency plan that included establishing a secondary currency and distributing vouchers to pensioners, the leader said he realised it was game over questioning Varoufakis: “Can you be serious?”
Enduring Rebuke
Within the memoir, the author concludes that his former ally demonstrated himself “unsuitable for a deal that required intricate and sensitive handling.”
Tsipras also claimed how Varoufakis's confrontational style left him increasingly isolated among peers, endangered the country, and assisted hardliners that were pushing for Grexit.
This retelling of history has been met with anger and shock in some quarters, whereas Varoufakis has maintained a conspicuous quiet on the matter.
